On February 27, 2025, BSR Real Estate Investment Trust (TSX: HOM.U) agreed to sell nine multifamily properties, totaling 2,701 units, to AvalonBay Communities, Inc. (NYSE: AVB) for US$618.5 million (CA$886.5 million). The deal includes a US$187 million (CA$267.9 million) direct sale of three Austin, TX properties for cash and a US$431.5 million (CA$618.6 million) contribution transaction of six Dallas, TX properties, involving cash and the exchange of up to 15 million Class B units into an AvalonBay DownREIT partnership.

Proceeds will be used to repay US$48.4 million (CA$69.4 million) in mortgage debt, reduce other liabilities, and fund acquisitions in Texas. The transaction also reduces the influence of legacy Class B unit holders and is expected to close in Q2 2025, subject to customary closing conditions.

Advisors on the deal include BMO Capital Markets (financial) and Goodmans LLP (legal) for BSR REIT, Goldman Sachs & Co. LLC (financial) for BSR Trust, Scotiabank (financial) and McMillan LLP (legal) for the Special Committee, and Mitchell, Williams, Selig, Gates & Woodyard P.L.L.C. (legal) for Supporting Unitholders. Wachtell, Lipton, Rosen & Katz, Davies Ward Phillips & Vineberg LLP, and Goulston & Storrs PC are serving as AvalonBay Communities' legal advisors for the transaction.

BSR plans to reinvest US$190 million (CA$272.1 million) into higher-growth assets in its core Texas markets.